SALT LAKE CITY -- American Stores Co. has announced a realignment and consolidation of its retail operations that will make it a coast-to-coast drug chain operating 641 super drug centers in 30 states.
American Stores is the largest operator, by sales volume, of retail drug stores in the United States, said Senior Vice President Michael Miller.
He said the recent acquisition of Illinois-based Jewel Companies, Inc., has brought more than 600 drug centers under the American Stores umbrella, but the three main chains still operate independently of each other.
Effective in early January, 1985, the 15 Skaggs Drug Centers in Southern California will change their name and become part of their sister drug company, Sav-on Drugs Inc. Sav-on is one of southern California's leading drug chains.
In a related consolidation, the company said that the five Sav-on Drug stores and the seven Skaggs Drug Centers in Las Vegas, Nev., will consolidate business operations and change their names to Osco Drug.
Certain of the remaining Skaggs Drug Centers across the United States will come together under the Osco name beginning in February, 1985, said Miller. Osco currently operates 332 drug stores in 20 states.
The company announced that 33 of the Osco drug stores which operate as part of the Buttrey combination stores, another sister chain of American Stores, will be transferred to Buttrey in early February, 1985. Buttrey will operate 58 Buttrey food stores or Buttrey combination stores in six states.
Miller said the melding together of its three main chains -- Skaggs, Sav-on and Osco -- is an effort 'to develop a stronger, more unified drug operation.'
American said it expects to achieve significant economies for its drug operations as Skaggs, Osco and Sav-on drug stores cooperate in unified purchasing and buying programs.
'In addition, the merging of the three drug store chains into a more single, unified organization will provide the company with greater flexibility and leverage in developing its private label programs,' Miller said.